More than 70,000 out-of-work Michigan residents will lose their benefits if Congress fails to reach a deal on an extension of federal unemployment benefits.

More than 5 million in the state will see their taxes go up if a payroll tax reduction also isn't extended.

The U.S. House rejected legislation Tuesday to extend a payroll tax cut and jobless benefits for two months. House Republicans controlling the chamber want instead immediate negotiations on a year-long plan with the Senate.

Democrats chastised Republicans in the House for rejecting a two-month extension that was approved by the Senate.

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But not everyone believes unemployment benefits should be extended. The Oakland Press asked its readers to comment on how many weeks of benefits people should be able to collect.

U.S. Rep. Sander Levin, D-Royal Oak, said the Republican majority in the House is "afraid of a straight vote.

"They are afraid that some Republicans would vote yes and the Senate bill would pass and the president would sign it and it would become law today," Levin said in a statement on the House floor. "They don't want Republicans on record voting against a payroll tax cut."

Levin's office quoted statistics from the U.S. Department of Labor that estimates 70,200 people receiving extended unemployment benefits in Michigan will lose them by Feb. 18 if Congress doesn't reach a deal by the end of the year.

According to points from the Labor Department released by Levin:

oAfter Dec. 31, extended federal unemployment benefits will no longer be available to people who have exhausted their state benefits.

o After Jan. 7, people receiving extended federal benefits won't be able to transition to the next tier of benefits. The program is set to expire without congressional action.

Residents of some states can receive up to 99 weeks of unemployment benefits currently.

If Congress does act to extend federal unemployment benefits, Michigan residents will be able to collect a maximum of 78 weeks of benefits because of changes in state law earlier this year that reduced state unemployment benefits from 26 weeks to 20 weeks. That change takes effect Jan. 1.

"If you're on state benefits as of Jan. 1 you can't move in to federal unemployment benefits," Levin spokesman Josh Drobnyk said. "If you're already receiving emergency compensation, you can finish your tier but not move on to the next tier."

Also set to expire without action by Congress is an extension of the 2 percent payroll tax cut.

The Labor Department estimates the 2 percent payroll tax cut, if not extended, will cost $1,430 for a family with a median income of $46,000 and affect 5.1 million Michigan workers.

Michigan has until recently had double-digit unemployment numbers for several years.

And this week, Michigan Gov. Rick Snyder signed legislation Monday that allows the state to issue bonds to pay $3 billion to the federal government it owes for unemployment benefits paid to the unemployed.

Contact Charles Crumm at 248-745-4649, charlie.crumm@oakpress.com or follow him on Twitter @crummc and on Facebook. More information is at oaklandmichiganpolitics.blogspot.com. Keep up with the latest in local news by texting OPNews to 22700. Msg & Data Rates May Apply. Text HELP for help. Text STOP to cancel.